Stocks Slightly Lower into Final Hour on Escalating Russia-Ukraine Tensions, Surging Eurozone Debt Angst, Yen Strength, Gaming/Transport Sector Weakness

Broad Equity Market Tone:

• Advance/Decline Line: Modestly Higher
  

• Sector Performance: Mixed
  

• Volume: Slightly Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 16.40 -2.79%

• Euro/Yen Carry Return Index 142.54 -.51%

• Emerging Markets Currency Volatility(VXY) 6.95 +1.46%

• S&P 500 Implied Correlation 58.92 -2.69%

• ISE Sentiment Index 97.0 -5.83%

• Total Put/Call 1.14 -4.20%

• NYSE Arms 1.36 -13.98% 

Credit Investor Angst:

• North American Investment Grade CDS Index 66.20 +.96%

• European Financial Sector CDS Index 73.86 +4.04%

• Western Europe Sovereign Debt CDS Index 39.16 +6.47%
• Asia Pacific Sovereign Debt CDS Index 74.50 +1.24%

• Emerging Market CDS Index 292.98 +.76%

• China Blended Corporate Spread Index 313.57 +.35%
• 2-Year Swap Spread 21.75 -.5 basis point

• TED Spread 21.25 -.5 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -12.25 -1.5 basis point

Economic Gauges:

• 3-Month T-Bill Yield .02% unch.

• Yield Curve 201.0 -1.0 basis point

• China Import Iron Ore Spot $95.90/Metric Tonne +.42%

• Citi US Economic Surprise Index 0.0 +6.2 points

• Citi Emerging Markets Economic Surprise Index -1.1 -.4 point

• 10-Year TIPS Spread 2.23 unch.

Overseas Futures:

• Nikkei Futures: Indicating -65 open in Japan

• DAX Futures: Indicating -20 open in Germany

Portfolio: 

• Higher: On gains in my tech/biotech/retal sector longs and emerging markets shorts

• Disclosed Trades: Added to my (IWM)/(QQQ) hedges and to my (EEM) short

• Market Exposure: Moved to 25% Net Long